# In the matter of Suresh Narayan Singh Vs. Tayo Rolls Ltd. CA (AT) No. 112-2018

> NCLAT judgment dated 2018-09-26. Citation: TCN-2018-NCLAT-00102. This is a Company Appeal (AT) (Insolvency) No. 112 of 2018 arising out of an order dated…

- **Court:** NCLAT
- **Order date:** 26 Sept 2018
- **Citation:** TCN-2018-NCLAT-00102
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclat-new-delhi/suresh-narayan-singh-vs-tayo-rolls-ltd-ca-9dd93d38

## Summary

### Background

This is a Company Appeal (AT) (Insolvency) No. 112 of 2018 arising out of an order dated January 3, 2018, passed by the Adjudicating Authority (National Company Law Tribunal), Kolkata Bench, Kolkata in Company Petition (IB) No. 701/KB/2017. The appeal was filed by Mr. Suresh Narayan Singh, representing 284 workers of Tayo Rolls Limited, against the rejection of their application under Section 9 of the Insolvency and Bankruptcy Code, 2016 (I&B Code). The application was rejected on the ground that it should have been filed individually by each operational creditor and not jointly.

## Facts

Mr. Suresh Narayan Singh, representing 284 workers of Tayo Rolls Limited ('Corporate Debtor'), filed an application under Section 9 of the Insolvency and Bankruptcy Code, 2016 (I&B Code) before the Adjudicating Authority (National Company Law Tribunal), Kolkata Bench, Kolkata. The application was for unpaid wages from October 2016 to October 2017. The Adjudicating Authority rejected the application on the ground that it was filed jointly by the workers and not individually. The workers, as operational creditors, claimed dues exceeding one lakh rupees each. Tayo Rolls Limited had also filed an application under Section 10 of the I&B Code, which was dismissed, and an appeal against that order was pending before the Appellate Tribunal. The Corporate Debtor did not

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## Issues and analysis

### Issue 1: Whether the application under Section 9 of the Insolvency and Bankruptcy Code, 2016, filed by the …

**Ratio:** Section 5(20) read with Section 5(21) of the ‘I&B Code' makes it clear that the

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**Reasoning:** The Appellate Tribunal reasoned that the Adjudicating Authority should have entertained

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**Interpretation:** The interpretation of Section 9 of the I&B Code is that an operational

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**Application:** In this case, the Appellant, Mr. Suresh Narayan Singh, filed the application on

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## Parties

- **Judges:** S.J. Mukhop…; Bansi Lal…
- **Appellants:** Suresh Narayan…
- **Respondents:** Tayo Rolls…

## Timeline

- **2018-01-03 — Order by Adjudicating…**: The Adjudicating Authority (National Company Law Tribunal), Kolkata Bench, Kolkata,…
- **2018-09-26 — Order by Appellate…**: The Appellate Tribunal (National Company Law Appellate Tribunal, New Delhi) passed an…

## Legal provisions

- [Insolvency and Bankruptcy Code, 2016, Section 9 — Application for initiation of corporate insolvency…](https://caseease.in/legal-provisions/insolvency-and-bankruptcy-code-2016/section-9)

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